Update: State judge orders New York officials to stop collecting state cigarette tax

BUFFALO, N.Y. (AP) — A state judge in Buffalo has issued a temporary order preventing New York from taxing reservation cigarette sales to non-Indian customers.

Lawyers for the Seneca Nation went to state Supreme Court Tuesday afternoon seeking an injunction blocking the tax. The judge gave them until June 1 to make their case that the state adopted the regulations hastily and without required public comment.

The state Attorney General’s office opposed the request.

The order comes a day after a federal appeals court lifted orders that had been barring the collections on other grounds.

The Second Circuit rebuffed New York Indian nations’ arguments that the taxing system unduly burdens reservation retailers and interferes with tribal sovereignty.

The state anticipates collecting $500,000 a day in revenues, but some tribes already appear to be moving toward stocking more Indian-manufactured cigarettes, which remain tax-exempt.

Earlier coverage:

BUFFALO, N.Y. (AP) — The Seneca Nation is heading back to court in its continuing battle to prevent the state from taxing reservation cigarette sales to non-Indian customers.

Lawyers for the western New York tribe will be in state Supreme Court in Buffalo Tuesday afternoon seeking an injunction blocking the tax. The state Attorney General’s office says the state will oppose the request.

The hearing comes a day after a federal appeals court lifted orders that had been barring the collections.

The Second Circuit rebuffed New York Indian nations’ arguments that the taxing system unduly burdens reservation retailers and interferes with tribal sovereignty.

The state anticipates collecting $500,000 a day in revenues, but some tribes already appear to be moving toward stocking more Indian-manufactured cigarettes, which remain tax-exempt.